Electrification the way to go for Pentamaster – Pentamaster
Summary
PETALING JAYA: Analysts are optimistic on Pentamaster Corp Bhd’s long-term growth prospects despite the weak sentiment in the global technology sector and the near-term market volatility. The automation solutions and services provider’s net profit for the first quarter ended March 31, 2022 (1Q22) rose to RM20.4mil from RM16.07mil a year ago. CGS-CIMB Research said that Pentamaster will continue to ride on the accelerating electrification trend and growing adoption of silicon carbide (SiC) and gallium nitride (GaN) compound semiconductors. “Pentamaster targets mid-teen topline growth in the financial year ending Dec 31, 2022 (FY22) on strong demand for high power modules going into electric vehicles, trains and consumer electronics. Meanwhile, UOB Kay Hian (UOBKH) Research has upgraded the stock to a “buy” with an unchanged target price of RM4 based on 31 times PE of forecast FY22.